Its a magical realist love letter to Japanese cinema. While it is among the best anime ever made, what it really rewards is a love for the classic live-action films of Kurosawa, Ozu, Mizoguchi and Kobayashi.
I've never seen that film, but it sounds interesting. Still, I'm not really the Japanophile that you are, so a lot of the references would probably go over my head. I know Akira Kurosawa's work and that's about it.
Kon, Oshii and Miyazaki. While there are a few other great anime directors, these three are arguably the only true auteurs that the industry has produced.
I like Otomo as well. Are you familiar with the film Memories ⚠️ ↗? My favorite sequence is the first one, followed by the third.